Overview of the Payment for Ecosystem Services Implementation in Indonesia

by Mia Amalia and Shanty Syahril

This study aimed to understand the legal basis for PES in Indonesia and the possible challenges in its future implementation, to review relevant studies and summarize the findings into a PES database for Indonesia, and to observe a number of PES sites in the country. There are 14 policies and regulations related to PES in Indonesia. In some of the regulations, PES is explicitly written; in others, PES is either only implicitly noted or mentioned in different terms. Some regulations can be used for future PES implementation. Some supportive policies are already enacted; however, the important institutions needed to make PES operational are yet to be established through laws and regulations. The regulations to be enacted are as follows: regulatory agencies, agencies to establish the science of ecosystem services, third-party certifiers and verifiers, PES registries, and agencies providing market information to sellers and buyers. In this study, a total of 10 PES cases were selected from 91 operational PES sites for in-depth interviews. The database and results from the in-depth interviews were used to propose a re-definition of PES for Indonesia; to understand the current stages of PES implementation in the country; and to recognize the current actors, services, and payment schemes already in place.

  • Publication Year: 2016
  • Country: Indonesia
  • Research Area: Forestry, Protected Area and Biodiversity
  • Research Topic: PES Review, Pilot or Evaluation
  • Analytical Framework: PES Review and Profiling, Policy Analysis
Economy and Environment Program for Southeast Asia